UPDATE - UBS Downgraded Georgia Gulf Corp. (GGC) to Neutral; Stock Up 95% YTD; Revaluing Deal
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Price: $54.58 --0%
Rating Summary:
1 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
Rating Summary:
1 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
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UPDATE - UBS downgraded Georgia Gulf Corp. (NYSE: GGC) from Buy to Neutral. PT raised from $30 to $35.
UBS analyst says, "We have revalued GGC in light of a buyout offer from Westlake Chemical (NYSE: WLK). WLK’s current $30 offer is at our former target price, which we based strictly on business fundamentals. Given our expectation that a deal is possible, we are increasing our target price to reflect our estimate of a transaction price and the odds of the deal closing. However, we are downgrading our rating because our new price target is not high enough to warrant a Buy rating."
UBS analyst sees current deal as 'bargain basement' and it's possible WLK started low on purpose with an eye toward the $40 range if necessary. However, if another suitor doesn't come along (but it's certainly possible one or more do), investors could get bored and therefore the stock could drift lower.
To see more ratings on GGC, Click Here
UBS analyst says, "We have revalued GGC in light of a buyout offer from Westlake Chemical (NYSE: WLK). WLK’s current $30 offer is at our former target price, which we based strictly on business fundamentals. Given our expectation that a deal is possible, we are increasing our target price to reflect our estimate of a transaction price and the odds of the deal closing. However, we are downgrading our rating because our new price target is not high enough to warrant a Buy rating."
UBS analyst sees current deal as 'bargain basement' and it's possible WLK started low on purpose with an eye toward the $40 range if necessary. However, if another suitor doesn't come along (but it's certainly possible one or more do), investors could get bored and therefore the stock could drift lower.
To see more ratings on GGC, Click Here
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